Educational Resources

29 Nov

6 Money Habits to Make (and Keep!) This New Year

With the New Year comes new goals, and it’s the perfect time to create and maintain new habits, especially ones that help keep you on-budget. Here are 6 money habits to make and keep this new year to help you cultivate financial peace and a budget that works for you.

6 New Money Habits to Make (and Keep!)

Develop Goals

You can’t go forward if you don’t know where you’re going. Don’t let your income, bills and expenses define your life – make a plan and decide where you want your finances to be in the future.

To start, pick 1-2 financial goals you want to accomplish this year. You could pay off debt, put $1,000 into savings, spend less on eating out – anything! Write your goals in a notebook and make a list of things you could do to reach those goals by the end of the year.

Keep Track

Keep track of income and expenses to keep an eye on where all your money is coming from and going. You can find multiple spreadsheet templates here, or you can download budgeting apps like EveryDollar, Mint or You Need a Budget.

Skip the Small Stuff

One coffee a day (at $3) is $1,095 a year! The small things add up and they add up quickly. Try making coffee at home, drinking more water and less soda, going to the library instead of renting movies. You’ll be surprised at how much you save each month!

Eat At Home

Try eating out just once a week if possible. Make lunch from home and meal prep whenever you can! Eating out really drains budgets dry without warning – it’s one of those monthly hidden costs you don’t really see until the end of the month and you’re wondering where all your money went!

Save Unexpected Income

Any money you receive that you didn’t expect – birthday gift money, a refund check, etc. – put it straight into savings or use it for debt payments. It’s not “free money,” it’s a chance to get one step ahead in your financial goals!

Dedicate Time

Dedicate one hour each month to going over your financials and your budget. Look through your past month’s expenses and income – how did things line up? Did you spend more than you thought? What should you do differently next month? Evaluate how you spent your money the month before and how you can improve your budget and your spending in the next.